Paper industry fears short-time work due to high energy costs

This is the result of a member survey conducted by the industry association DIE PAPIERINDUSTRIE. "Many companies can no longer pass on the exploding energy costs to their customers; in case of doubt, their only option is to cut back production," explained Winfried Schaur, president of the association. Since May, the industry has recorded a production decline of 12.5 per cent.

Schaur also warned against plant closures. "If it is not possible to bring energy prices back to an acceptable level, investment decisions will be made against Germany as a business location. He criticised the German government's energy cost containment programme, saying it would have "little to no effect" on the paper industry. In the tough international competition, energy costs inevitably put German producers at a disadvantage.

Schaur warned that the structural disadvantages of the German energy supply would accompany the industry for years if action was not taken soon. He called on the federal government to increase the energy supply with all available and developable sources. Also, no more base-load capacities should be switched off before real alternatives are on the grid. The German government could make the energy transition a "show-case" for Europe and the whole world if it acted accordingly.